It can be frustrating for sellers to see their products perform poorly on Amazon, and they may even start to question the product. But there may not be a problem with the seller’s product, but it may be because of the copywriting, pictures or reviews. Analyzing conversion rates can help sellers optimize their listings, but before diving into the discussion, you need to know why sellers should pay more attention to conversion rates?
High conversion rate:
1. Bring more sales
More conversions = more sales. No matter how much money you spend on PPC, it won’t bring results unless your conversion rate is high. Because of PPC advertising, sellers can drive traffic to the seller’s details page, but if the buyer is not ready to buy, the money spent on drainage is useless. Before advertising, sellers need to prepare their products for traffic, because conversion rate is the factor that determines your sales.
2. Improve natural rankings
Although the dominance of sponsored advertising continues to increase, natural rankings are an integral part of revenue growth. But just like the Google algorithm, no one really knows how the A9 algorithm works. However, Amazon does provide some perspective: factors such as text matching, price, inventory, sales history, etc. help determine where your products appear in buyer search results. Sales history is an important factor in various metrics such as order defect rate. Ranking advantage is directly related to sales history, specifically conversion rate, because increased conversion rate = increased sales.
3. Increase product exposure
This is an often overlooked benefit of increased conversion rates. On product pages, there are many sections to highlight your competitors’ products. If a seller’s product gets one of these display spaces, it will get a lot of display and exposure.
4. Gain an advantage in sponsored ad bidding
A higher conversion rate equals lower buyer acquisition costs, thus also providing a competitive advantage in sponsored ad bidding. Amazon prefers keyword ads that correspond to multiple product ads. Even if the click cost is lower than competitors, the historical conversion rate is higher. Because buyer satisfaction comes first. The money saved can be invested in expanding your ad campaigns or other marketing efforts. What kind of conversion rate is good? According to one study, the average conversion rate for non-PR is about 13%, while the average conversion rate for PR is as high as 74%. Amazon sellers have a competitive advantage over other sellers. Because buyers are willing to buy, the conversion rate is naturally much higher.
Hope the above content can help you